Scania and DAF Select Iteris as Supplier of Lane Departure Warning Systems for Long-Haulage Trucks.

Two of Europe's Largest Commercial Vehicle Manufacturers Offer Iteris Technology to Address Importance of Transport Safety

ANAHEIM, Calif. -- Iteris, Inc. (AMEX:ITI), a leader in the development of vision-based technology that enhances driver safety, today announced that Scania and DAF, two of the world's leading manufacturers of trucks for heavy transport applications, will offer Iteris' Lane Departure Warning (LDW) technology as a customer option on their trucks.

Scania, based in SEdertEnlje, Sweden will offer Iteris' LDW system in its new long haul R-series and P-series models with initial production expected to begin in January 2007. Scania began purchasing initial production units in July of this year. The LDW systems will be installed at Scania's factory located in Oskarshamn, Sweden.

DAF Trucks N.V., a wholly owned subsidiary of PACCAR Inc., is based in Eindhoven, Netherlands. DAF will offer Iteris' LDW system in its CF and XF Series model lines with initial production expected to begin in March 2007. The LDW systems will be installed at DAF's production facilities located in Westerlo, Belgium.

"We're pleased to be the exclusive supplier of LDW systems to Scania and DAF," said Jack Johnson, president and CEO for Iteris. "Having two more major truck manufacturers as customers is a strong indication that safety remains a top priority for the European commercial truck industry. At the recent IAA Show in Hannover, Germany, we were extremely proud to see our LDW system on display and available on Mercedes, MAN, Scania, DAF, and Iveco trucks, as well as EvoBus and Neoplan luxury coaches."

Iteris' LDW is currently the only product of its kind available as both an OEM and aftermarket option for commercial trucks worldwide. LDW is currently available as an OEM factory installed option on Mercedes, MAN, Scania, DAF, and Iveco trucks, as well as EvoBus and Neoplan luxury coaches in Europe and Freightliner trucks in North America.

About Iteris, Inc.

Iteris, Inc. is a leading provider of outdoor vision systems and sensors that optimize the flow of traffic and enhance driver safety. Iteris combines outdoor image processing, traffic engineering, and information technology to offer a broad range of transportation and safety solutions. Iteris, Inc. is headquartered in Anaheim, California. Investors are encouraged to contact us at 714.774.5000, or at www.iteris.com.

Safe Harbor Statement under the Private Securities Litigation Reform Act of 1995: This release may contain forward-looking statements, which speak only as of the date hereof and are based upon our current expectations and the information available to us at this time. Words such as "believes," "anticipates," "expects," "intends," "plans," "seeks," "estimates," "may," "will," "can" and variations of these words or similar expressions are intended to identify forward-looking statements. These statements include, but are not limited to, statements about the performance and expected benefits of our technology and LDW systems, commercial vehicle and automotive standards and our future prospects. These statements are subject to change and we undertake no obligation to revise or update publicly any forward-looking statements for any reason. These statements are not guarantees of future performance and are subject to certain risks, uncertainties and assumptions that are difficult to predict. Therefore, our actual results could differ materially and adversely from those expressed in any forward-looking statements as a result of various factors.

Important factors that may cause such a difference include, but are not limited to the market acceptance of our technologies and of the products that incorporate our technologies, commercial vehicle production schedules and agendas; the timing and successful completion of customer qualification of our products and the risks of non-qualification; market acceptance of our LDW system and the vehicles that incorporate our systems; our ability to specify, develop, complete, introduce, market and transition our products and technologies to volume production in a timely manner; the potential unforeseen impact of product offerings from competitors and other competitive pressures; and the general economic and political conditions and specific conditions in the markets we address, including the general economic slowdown and volatility in the automotive sector. Further information on Iteris, Inc., including additional risk factors that may affect our forward looking statements, is contained in our Annual Report on Form 10-K, our Quarterly Reports on Form 10-Q, our Current Reports on Form 8-K and our other SEC filings that are available through the SEC's website (www.sec.gov).